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Increasing inflation should only work if the increase came unexpectedly and (irrationally) scared people away from bonds, as bond rates would adapt going forward, taking into account the higher inflation.

And as people (though not the markets) seem to expect higher future inflation already...

Peak oil is not an energy crisis. It is a liquid fuel crisis.

by Starvid on Fri Sep 7th, 2012 at 09:03:52 AM EST
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